Question on Shipping Fees

[fil-am-sellers]

I sell classic US postage stamps, Nearly all my listings are auctions, and all of the auctions begin at 99 cents. On occasion an item will sell for that minimum, or perhaps in the $2 - $9 range. Others sometimes sell for  $200 or more. I've been charging $2.45 for USPS First Class Package shipping for any transactions that are less than $20; those above $20 ship for free. This has been working out pretty well except for those buyers who win auctions for low amounts. Not really fair to charge someone $2.45 to mail them a stamp they only paid a few dollars for.

However, looking back through my past 90 days' sales, I have had 185 transactions. In order to keep my Top Rated Seller Plus status (and my 20% end of month discount on Final Value Fees) I would need to have no more than FIVE packages (3%) sent out without tracking numbers. That is nearly impossible. For example, I had 20 transactions in that 90 day period with a total amount of less than $5, so clearly I can't give those folks free shipping. I average about $30 a month discount on my final value fees, so loosing Top Rated Plus by sending everything out in a #10 envelope and charging 50 cents is not an option.

Looking for suggestions from other sellers on what they would change, if anything, if they had this situation.

As a side note, I tell my buyers that they can hold off payment to see if they might win more items the following week, where they might get a combined sales amount over the $20 mark and earn free shipping...

[southern*sweet*tea]

I have a separate account on which I sell low cost booklets and paper items. I ship in a plain envelope with a stamp, obviously no tracking. It is above standard with an on time percentage of 100% and a shipping upload percentage of zero.  This is what most people do that are interested in keeping TRS status.  Just be advised that is anyone says they didn't get their item, you WILL have to refund.  So far in four years I've never had a problem.

[tripper101]

Your only problem is you have to quit thinking people that win a stamp low should not pay 2.45 shipping.  They can either buy more or pay the 2.45.  Just state your terms clearly. 

[swenson8781]

I agree with the other poster who said you shouldn't feel bad about charging for shipping.  Your shipping charges are stated right up front, and anyone who knows the cost of tracking/shipping knows they are not over-inflated.  IMO, it's a reasonable charge.

I understand that you'd like to offer free shipping to any items that exceed $20, I'd simply charge $2.45 on ALL auction items, then once the auction is complete send a revised invoice with the discounted amount if the ending price is higher than $20.

[fil-am-sellers]

Hi Michelle - yes, that's exactly what I do - all items have shipping set at $2.45 (unless I know for sure it will sell for more than $20), and then I try to quickly send a new e-invoice to the buyer with zero shipping fees. The problem I run into is if I'm not home or online, I find some buyers pay immediately and then I've got to get into PayPal and refund the shipping fees. Not a huge deal, but it does get tiring, especially since my auction text asks them to hold off paying until I e-invoice them. I have the same problem when a buyer wins multiple auctions the same night, each with $2.45 shipping fee, and they pay right away, including the multiple shipping fees that eBay has charged them.

I would really, really like to find a way to have the shipping fee set to zero if the total sale amount is over $20, and if under $20, then only ONE fee charged. I've done a little research, but I've not been able to find a way to have that happen. Any ideas?

Jim